Charitable Remainder Unitrust (CRUT)
- What is this?
A “CRUT” is a means to make an irrevocable gift that offers an income beneficiary a variable quarterly stream of income (which is the most common choice of frequency, for example) while leaving the remainder to charity. - Who is it a good option for?
People with either cash or highly appreciated non-cash assets held for more than one year who want to turn it into an income stream and/or move it from their estate. - Financial Benefits
They move the asset from their estate, receive a partial charitable income tax deduction on the value, and receive a quarterly stream of income for a term or for life (for themselves and/or others). A software illustration (from a company called PG Calc, for example) can be run by UPPER VALLEY HAVEN to show what the tax deduction and income stream could look like. - What do interested parties need to prepare for a meeting?
Bring any and all information on the assets the person would like to donate (e.g. a financial statement, the original purchase amount, and more).
Charitable Remainder Annuity (CRAT)
- What is this?
A “CRAT” is a means to make an irrevocable gift that offers someone a fixed quarterly stream of income (the most common frequency) while leaving the remainder to charity. - Who is it a good option for?
It is good for people with either cash or highly appreciated non-cash assets held for more than one year who want to turn it into an income stream and/or move it from their estate. - Financial Benefits
The donors move the asset from their estate, receive a partial charitable income tax deduction on the value, and receive a quarterly stream of income for a term or for life (for themselves and/or others). A software illustration (from a company called PG Calc, for example) can be run by UPPER VALLEY HAVEN to show what the tax deduction and income stream could look like. - What do interested parties need to prepare for a meeting?
Bring any and all information on the assets the person would like to donate (e.g. a financial statement, the original purchase amount, and more).
Charitable Lead Trust (CLAT)
- What is this?
A “CLAT” is a means to move one’s property out of one’s estate temporarily or permanently. At the same time, a charity or charities will receive at least an annual fixed stream of income for a time period of up to 20 years. - Who is it a good option for?
This option is good for people with an estate tax problem (e.g. assets more than $13.61 million for individuals, or $27.22 million for a married couple) who own HIGH-COST BASIS assets (meaning they aren’t worth much more than they purchased them for), and the donors don’t need these assets now. They are, of course, charitably inclined. - Financial Benefits
There is the potential for a charitable income tax deduction (for the Grantor-Retained CLAT version) and temporarily moving the asset from the estate. The Non-Grantor-Retained CLAT version does NOT offer a charitable income tax deduction but instead PERMANENTLY moves the asset from the estate. - What do interested parties need to prepare for a meeting?
Bring any and all information on the assets the person would like to donate (e.g. a financial statement, the original purchase amount, and more).
